The Sales, Gross Profit, and Direct and Indirect Operating Expenses

question 48

Essay

The sales, gross profit, and direct and indirect operating expenses of Departments A and B of Cardoba Inc. are as follows: $\begin{array}{lrrr}&\text { Dept. A }&\text { Dept. B }&\text { Total }\\\text { Sales } & \$ 420,000 & \$ 290,000 & \$ 710,000 \\\text { Gross profit } & 243,000 & 197,000 & 440,000 \\\text { Direct operating expenses } & 205,000 & 118,000 & 323,000 \\\text { Indirect operating expenses } & & & 160,000\end{array}$ ​
Required:
Compute the departmental direct operating margin and direct operating margin percentage for each department.

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Definitions:

Biological Aging

The process of becoming older in a deleterious sense, characterized by the gradual deterioration of physiological functions and increased susceptibility to diseases.

Marital Relationships

The dynamic and interaction between spouses or partners legally recognized as married, including their emotional and physical bond.

Cohabitation

Being in a romantic and sexual relationship with someone without going through the process of getting married.

Intimate Relationships

Deeply personal and close connections between individuals, characterized by affection, love, trust, and mutual respect.